Subway looking to refurbish stores’ not-so-fresh look

Subway wants to freshen adult a demeanour of a stores as it tries to branch a sales decline.

The sandwich sequence says a redesign — that includes a brighter atmosphere, displays of vegetables behind a opposite and grouping tablets — is a initial vital revamp given a early 2000s. The changes will take place as stores are remodeled and new ones are built.

The makeover comes as Subway’s sales have depressed for 4 true years amid foe from places including Jimmy John’s and Firehouse Subs. Since 2012, Subway’s normal annual sales per store are down 13 per cent during $420,000 US, according to attention tracker Technomic. Last year, a series of U.S. stores also shrank for a initial time, nonetheless a association says it still has some-more than 26,200 domestic locations. Globally, a sequence says it has some-more than 44,800.

Don Fertman, Subway’s arch growth officer, says franchisee agreements need them to transform stores each 7 to 10 years. The association says franchisees will have a accumulation of pattern options to collect from, and that it is looking for ways to assistance them reduce costs.

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Fertman says a stream “Tuscany” pattern was dictated in partial to simulate a Italian birthright of owner Fred DeLuca, who died in 2015. His sister, Suzanne Greco, is now CEO of a secretly hold company.

“It’s been operative for us given a early 2000s,” Fertman said, though remarkable that it was time to evolve.

Canadian stores

In a U.S. and Canada, new stores will be built regulating a redesign. About 150 stores will get a new demeanour in a entrance months, Fertman said. By a finish of subsequent year, he pronounced 3,000 to 5,000 stores globally should have it, with many of those being in a United States and Canada. Subway says a stores with new designs will embody new menu items, such as bread done but gluten.

Some have reservations about a plans.

John Gordon, a grill attention analyst, pronounced Subway competence be improved off focusing on improving a food before branch to remodeling, given a parsimonious financial situations of many franchisees.

While a association hasn’t nonetheless specified a cost, a remodeling looks like it will be pricey for franchisees, records Keith Miller, who has 3 Subway stores in Northern California.

Miller, who is also conduct of a Coalition of Franchisee Associations, pronounced dual pivotal questions are either remodeling would boost sales, and either franchisees can means it. If franchisees can’t means it, Miller pronounced it’s not unequivocally a solution.

“How do we need someone to do something that they can’t financially do?” he said.

Article source: http://www.cbc.ca/news/business/subway-makeover-1.4210305?cmp=rss